Brunswick Market sold to an interstate developer for $17 million in one of the largest development site transactions in five years for the inner-city Melbourne suburb.
The owner of the Brunswick Market business sold the property to an ACT-based builder who was understood to have plans for a major apartment project on the site.
The 3,059sq m landholding with four street frontages—at 655-661 Sydney Road and 50-52 Breese Street—had commercial 1 zoning and a preferred development height of around six to seven-storeys.
Situated a short walk from Anstey Train Station, the area continued to attract huge interest from developers with many major projects currently under construction or planned by developers, including Stockland, Lucent, Milieu and Nightingale Housing.
The major off-market deal represented a land value rate of $5,557 per square metre, and set a new land value benchmark for Brunswick for a major landholding by Savills and Blount Osborne Walsh.
Savills director Jesse Radisich said they implemented a discreet off-market sale for the vendor who owned the property since 2004 to major developers looking for opportunities in Melbourne.
“This major transaction is a huge vote of confidence for Brunswick, and Melbourne’s inner north generally,” Radisich said.
“It is undoubtedly a sign that developers are willing to compete aggressively and pay a premium for sites that offer that scarcity factor along with significant upside.”
Blount Osborne Walsh agent Cameron Elliott said it was an easy decision for the vendor who they had worked closely with for 10 years.
“The sheer size of the land in this location was a major drawcard to a number of buyers, and the scarcity factor played a major role in the significant demand for the land and the eventual sale,” Elliott said.
Stockland also has plans for a residential apartment project in Brunswick after snapping up an Albert Street development site for $15 million.
Nearby, Melbourne-based developer Lucent is expected to start construction on $62 million residential development plans at 269 Stewart Street, Brunswick East.